As holiday shopping ramps up, local managed IT provider Bit-Wizards is warning consumers about increased risks of AI-powered identity theft amid projections of higher transaction volumes and fraud rates this season.
- Global payments technology company ACI Worldwide forecasts a 12% increase in transaction volume during the 2024 holiday season, accompanied by a 3% rise in overall fraud and a 26% surge in synthetic identity fraud, according to its 2024 Holiday Report.
Brian Schlechter, Director of IT at Bit-Wizards, points to holiday distractions as a key vulnerability.
“Most people are caught up in the frenzy of holiday shopping lists, family schedules, and other details that make them less vigilant against potential threats disguised as prize giveaways or billing statements,” he said. “Hackers leverage that aspect as part of their social engineering efforts, wreaking havoc for their victims while pulling off successful attacks.”
The company warns that artificial intelligence is making fraud tactics more sophisticated and harder to detect. Bad actors are using AI-powered tools to create deepfakes of voices and likenesses, generate convincing phishing emails, and forge documents.
To combat these threats, Bit-Wizards recommends four key strategies:
- Use AI to your advantage when possible.
- Follow strong password security practices.
- Monitor for traditional signs of identity theft.
- Inform and educate yourself and others.
The IT provider suggests businesses partner with managed service providers for year-round cybersecurity protection rather than handling security independently. Bit-Wizards offers multilayered security measures through its Managed IT Services team to protect both employees and customers.
